Brian Armstrong, the CEO of Coinbase
$5.26B
, has known as for modifications to how his cryptocurrency alternate manages listings.
In a January 26 publish on X, he highlighted the overwhelming variety of new tokens being launched—round a million every week. He mentioned, “We have to rethink our itemizing course of at Coinbase, given there are ~1m tokens every week being created now, and rising”.
Armstrong believes the standard methodology of reviewing tokens individually is now not sensible.
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At the moment, Coinbase makes use of an in depth vetting course of for itemizing new tokens. A devoted staff evaluates every digital asset to make sure it meets authorized, compliance, and safety requirements earlier than being made obtainable to customers.
Armstrong acknowledged that whereas this course of has labored up to now, the sheer quantity of recent tokens makes it more and more tough to maintain up.
To handle this, he proposed a brand new technique. As a substitute of reviewing tokens earlier than itemizing them, Coinbase would enable all tokens by default. Tokens may then be eliminated if points come up, equivalent to poor person opinions or suspicious on-chain exercise.
Armstrong additionally urged regulators to rethink their necessities, stating, “Regulators want to know that making use of for approval for each is completely infeasible at this level as properly”.
Just lately, Coinbase sought clarification from a US appeals courtroom on whether or not crypto trades are categorised as securities. How did it go? Learn the complete story.
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